Methodology - Kazakhstan (2026)

Educational model under the new Tax Code in force 1 January 2026 - not a State Revenue Committee assessment, not a tax return, not tax advice.

Employee

Individual income tax (IIT) is progressive from 2026 (replacing the old flat 10%): 10% on annual taxable income up to 8,500 MCI, and 15% on the portion above 8,500 MCI. With MCI 2026 = KZT 4,325, the 15% band starts at KZT 36,762,500 of annual taxable income.
Order of deductions for the IIT base: gross - OPV (mandatory pension 10%) - VOSMS (employee health 2%) - the standard deduction of 30 MCI per month (KZT 129,750), which replaces the old 14 MCI deduction.
OPV pension 10% (base floor 1 minimum wage, cap 50 minimum wages) and VOSMS health 2% (base cap 20 minimum wages) are both deductible before IIT. Net = gross - OPV - VOSMS - IIT.
Out of scope: employer-side charges (social tax 6%, social contributions 5%, OOSMS 3%, employer pension 3.5%) for net pay, non-residents, professional pension contributions, and whole-tenge payroll rounding. MCI (KZT 4,325) and the minimum wage (KZT 85,000) for 2026 are provisional.

Simplified declaration (default): 4% of income (raised from 3%; akimats may set 2% to 6%). Simplified-regime entrepreneurs are no longer social-tax payers. The income ceiling for eligibility is 600,000 MCI per year.
General regime: progressive income tax of 10% / 15% on annual net profit (income minus deductible expenses), using the same 8,500 MCI band edge as employment.
Both regimes also pay separate mandatory social payments on a self-set base (1 to 50 minimum wages): OPV pension 10%, social contributions (SO) 5%, and VOSMS health 5% of 1.4 minimum wages per month.
Out of scope: akimat rate variations, VAT, the micro "self-employed" special regime, and the retail special tax regime.